Read The Article From The Economist Free Exchange Saving Too Thin A Cushion The Arti 3290618

Read the Article from The Economist/Free Exchange, Saving: Too Thin a Cushion. The article is available as a PDF file under the Articles tab on the Blackboard menu. Then, post a response to the following questions: a) Why is the saving rate of individuals in the U.S. of concern? b) What factors might account for the observed trend in personal saving rates? c) Is government action warranted? d) If a change in government policies were to be made, what might be effective? Why?. Address these questions by drawing on the article as well as Mankiw’s discussion of Saving, Investment, and the Financial System (Chapter 26) in the text; also reflect on any relevant Principles of Economics (Chapter 1). Please post your initial response to this forum and comment substantively on at least two other participants’ entries by Sunday 1/6 11:59pm.

Prof. Angela


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